84-2-328. Sale by auction. (1) In a sale by auction if goods are put up in lots each lot is the subject of a separate sale.
(2) A sale by auction is complete when the auctioneer so announces by the fall of the hammer or in other customary manner. Where a bid is made while the hammer is falling in acceptance of a prior bid the auctioneer may in his discretion reopen the bidding or declare the goods sold under the bid on which the hammer was falling.
(3) Such a sale is with reserve unless the goods are in explicit terms put up without reserve. In an auction with reserve the auctioneer may withdraw the goods at any time until he announces completion of the sale. In an auction without reserve, after the auctioneer calls for bids on an article or lot, that article or lot cannot be withdrawn unless no bid is made within a reasonable time. In either case a bidder may retract his bid until the auctioneer's announcement of completion of the sale, but a bidder's retraction does not revive any previous bid.
(4) If the auctioneer knowingly receives a bid on the seller's behalf or the seller makes or procures such a bid, and notice has not been given that liberty for such bidding is reserved, the buyer may at his option avoid the sale or take the goods at the price of the last good faith bid prior to the completion of the sale. This subsection shall not apply to any bid at a forced sale.
History: L. 1965, ch. 564, § 62; January 1, 1966.
KANSAS COMMENT, 1996
This section states general principles that govern the making of contracts by auction. It reflects the usual understanding at an auction sale. See Restatement (Second) of Contracts § 28. For the only two published Kansas decisions discussing this provision, see Vanier v. Ponsoldt, 251 K. 88, 833 P.2d 949 (1992) (applying Kentucky law); Feaster Trucking Serv., Inc. v. Parks-Davis Auctioneers, Inc., 211 K. 78, 505 P.2d 612 (1973).
CASE ANNOTATIONS
1. Action for breach of contract to conduct auction sale; summary judgment for auctioneer; no separate agreement imposing liability; rules applied. Feaster Trucking Service, Inc. v. Parks-Davis Auctioneers, Inc., 211 Kan. 78, 83, 505 P.2d 612.
2. Action by buyer constituting waiver of options examined. Vanier v. Ponsoldt, 251 Kan. 88, 105, 833 P.2d 949 (1992).
3. Section sets rules for auction sales of "goods" but is instructive as to sales of real estate. Young v. Hefton, 38 Kan. App. 2d 846, 850, 852, 173 P.3d 671 (2008).
Law Review and Bar Journal References:
"Electronic Commerce in Kansas: Contract Formation and Formalities Under Article 2," Christopher R. Drahozal, 68 J.K.B.A. No. 5, 22 (1999).
|
|